Are social security child auxiliary benefits parent income?

[michaelspotts]

I am starting my social security retirement at 62 and will be also be getting an auxiliary child benefit as we have a son who is 11. Is this auxiliary benefit taxable as my child's income or mine as parent?  Trying to figure how much tax to have SS take out ahead of time. Thx.

[DianeW · Accepted solution]

Benefits that actually belong to the child because of your early disability of a parent will not be included in your tax return. You should consider only your benefits when figuring out how much tax to have withheld.

You can have 7%, 10%, 15% or 25% of your monthly benefit withheld for taxes. If you believe part of your social security benefits will be taxed because your other income plus half of your social security benefits will exceed $25,000 ($32,000 for married filing jointly) then you can decide a minimum withholding percentage of 7%.  

Consider that the maximum amount of your benefits that can be taxed is 85% when making your decision.

[michaelspotts]

Thanks for quick answer.  when IRS looks at our income in determining amount of my social security retirement to tax, is the figure for income rhey look at gross income or taxable income?  Thanks again.

[DianeW]

Gross.  For this reason I would consider the lower percentages if next year's income might be lower.  TurboTax can help you estimate your tax for next year.